New Paid Sick Leave Requirements in Missouri: What You Need to Know

13 February 2025
Articles, Employer

New Paid Sick Leave Requirements in Missouri: What You Need to Know

While the most immediate impact of Missouri’s Proposition A, which passed on November 5, 2024 is an increase in Missouri’s minimum wage, it has significant provisions regarding earned paid sick-time policies for employees. Business owners should be aware some aspects of the law may be changing due to a challenge from a coalition of business advocacy groups, however, now is the time to prepare for a potential May 1, 2025 effective date.

Who Is Affected by This Law?

Missouri businesses of all sizes should pay attention to this law. Under the new legislation, all private employers, unless they are exempt, are required to offer earned paid sick time benefits. The law applies regardless of the number of employees—whether you have five employees or 500.

Exempt employers include:

Government agencies, including local municipalities and public education institutions
Private businesses with an annual gross revenue of less than $500,000

If you’re a private employer with more than $500,000 in annual revenue, this law likely applies to you.

What Exactly Is “Earned Paid Sick Time?”

Simply put, “earned paid sick time” refers to time off that employees can take for a variety of reasons, including:

Personal or family member’s illness, injury, or health condition
Medical appointments or preventative care
School/daycare closures or workplace closures due to a public health emergency
Domestic violence, sexual assault, or stalking-related matters (in certain circumstances)

This time must be compensated at the employee’s regular hourly rate and include the same benefits they normally get while working. The law’s definition of family member can include:

A child, stepchild, child of a domestic partner, or child whom the employee performs parental duties for.
A parent, stepparent, legal guardian, or individual who served as a parent to the employee or their spouse.
A spouse, a domestic partner, or individual with whom the employee is in a romantic relationship.
A grandparent, grandchild, or sibling of the employee, employee’s spouse, or domestic partner.
A person for whom the employee is responsible for providing health or safety-related care.

Employees will start accumulating earned paid sick time benefits starting May 1, 2025. Within 14 calendar days of employment beginning or on April 15, 2025 – whichever is later – employers must provide written notice of the following:

Beginning May 1, 2025, employees accrue and are entitled to earned paid sick time at the rate of one hour of earned paid sick time for every 30 hours of work and may use earned paid sick time, subject to the law’s limits and terms;
Employers cannot retaliate against employees who request or use earned paid sick time;
Employees have the right to bring a lawsuit if earned paid sick time is denied or they are retaliated against for exercising their rights under the law; and
Contact information for the state labor department.

How Does Earned Paid Sick Time Accrue?

Employees will earn one hour of paid sick time for every 30 hours they work.

Here’s the breakdown for usage:

Employers with fewer than 15 employees: Employees can use up to 40 hours of earned paid sick time per year.
Employers with 15 or more employees: Employees can use up to 56 hours of earned paid sick time per year.

Employers must allow employees to carry over up to 80 hours of earned, but unused, sick time from year to year.

Employers are allowed to front-load sick leave, or provide all paid sick time that an employee is expected to accrue over the course of the year, at the beginning of the year. If an employer’s paid time off policy already in existence makes available an amount of paid leave sufficient to meet the accrual requirements and may be used for the same purposes and under the same conditions as earned paid sick time, they are not required to change or provide additional earned paid sick time.

What Happens if You Don’t Comply?

Willful violations of Proposition A can lead to a class C misdemeanor charge, and each day of noncompliance can be counted as a separate offense. Employees also have the right to take legal action if their rights are violated.

What About the Missouri Supreme Court Case?

It’s important to mention that the Missouri Supreme Court will be hearing oral arguments on March 12, 2025 regarding the legality of how Proposition A was placed on the ballot in November 2024. Depending on how the court rules, the law could face changes. For now, it’s safe to prepare as though the law will stand as is.

Talk with the pros

Our CPAs and advisors are a great resource if you’re ready to learn even more.